Japan needs to watch slowing US economy
Japan needs to closely watch the impact that any U.S. economic slowdown there might have on Chinese exports, many of which are assembled from semifinished products.
By Agencies |
TOKYO: Japan needs to closely watch the impact that any U.S. economic slowdown there might have on Chinese exports, many of which are assembled from semifinished products and raw materials from Japan and elsewhere in Asia, the country's economic minister said Friday.
``What shape the U.S. slowdown will take needs thorough monitoring,'' Economy Minister Hiroko Ota said at a regular press conference. ``Overall exports are still expanding, but that expansion is coming at a slower pace.''
She said Japanese exports to Asia including China are in good shape, while those to the European Union are flat.
``As there is a time lag, we need to closely watch how the slowdown in the U.S. will affect the Chinese economy and how that will affect the exports of Japanese and emerging economies to China,'' she said.
About a fifth of China's exports go to the U.S., Ota said. A large share of those are assembled from components or semifinished materials from Japan and the rest of Asia.
Separately, Bank of Japan Gov. Toshihiko Fukui said the country's domestic economy is slowing on lingering adjustments in the housing sector.
``Moves in the Japanese economy are slowing down for now due to the weakness in housing investment,'' he told a Lower House fiscal and financial panel.
However, he still maintained the view that Japan's economy is in a ``favorable growth cycle of industrial production, income and expenditure.''
``What shape the U.S. slowdown will take needs thorough monitoring,'' Economy Minister Hiroko Ota said at a regular press conference. ``Overall exports are still expanding, but that expansion is coming at a slower pace.''
She said Japanese exports to Asia including China are in good shape, while those to the European Union are flat.
``As there is a time lag, we need to closely watch how the slowdown in the U.S. will affect the Chinese economy and how that will affect the exports of Japanese and emerging economies to China,'' she said.
About a fifth of China's exports go to the U.S., Ota said. A large share of those are assembled from components or semifinished materials from Japan and the rest of Asia.
Separately, Bank of Japan Gov. Toshihiko Fukui said the country's domestic economy is slowing on lingering adjustments in the housing sector.
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``Moves in the Japanese economy are slowing down for now due to the weakness in housing investment,'' he told a Lower House fiscal and financial panel.
However, he still maintained the view that Japan's economy is in a ``favorable growth cycle of industrial production, income and expenditure.''
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